J.B. Hunt keeps rolling, but trucks stall

Increased shipping volumes and moderating fuel prices helped J.B. Hunt Transport Services grow second quarter sales 10.1% to nearly $1.4 billion while profits disappointed slightly.

Profits for the period ended June 30 increased to $87.7 million, or 73 cents a share, compared to $80.5 million, or 67 cents a share, during the comparable period the prior year. Earnings per share were a penny less than analysts’ forecast and operating margins contracted to 10.7% from 10.9%.

The company said it experienced load growth of 12% in its Intermodal division and 29% in its Integrated Capacity Solutions division. The company’s Dedicated Contract Services division saw revenues grow 13% as new, large private fleet conversions continued to be implemented, while revenue in the company’s Truck segment, its smallest division, decreased by 20% primarily from a smaller fleet size and lower utilization.

The company’s intermodal division accounts for 62% of total revenue and grew volumes by 12% during the quarter, according to the company. The weakest segment was trucking where the fleet size shrank 16% to 2,018 tractors compared to 2,396 the prior year and there was less utilization of the small fleet.

J.B. Hunt keeps rolling, but trucks stall

Increased shipping volumes and moderating fuel prices helped J.B. Hunt Transport Services grow second quarter sales 10.1% to nearly $1.4 billion while profits disappointed slightly.

Profits for the period ended June 30 increased to $87.7 million, or 73 cents a share, compared to $80.5 million, or 67 cents a share, during the comparable period the prior year. Earnings per share were a penny less than analysts’ forecast and operating margins contracted to 10.7% from 10.9%.

The company said it experienced load growth of 12% in its Intermodal division and 29% in its Integrated Capacity Solutions division. The company’s Dedicated Contract Services division saw revenues grow 13% as new, large private fleet conversions continued to be implemented, while revenue in the company’s Truck segment, its smallest division, decreased by 20% primarily from a smaller fleet size and lower utilization.

The company’s intermodal division accounts for 62% of total revenue and grew volumes by 12% during the quarter, according to the company. The weakest segment was trucking where the fleet size shrank 16% to 2,018 tractors compared to 2,396 the prior year and there was less utilization of the small fleet.

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